May 21, 2008This article was originally published by RFID Update.
May 21, 2008—Wealth and asset management firm Robert W. Baird & Co. has released its RFID Monthly for May. Baird has given RFID Update permission to reprint the Key Developments section (below), which offers the report highlights. For those wanting more detail, the complete 23-page document is available free here.
The standard matrix of primary RFID providers is on page 17, and following are the Key Developments:
- Survey Suggests Traditional Data Capture Market Seeing RFID Opportunity. We recently surveyed 92 automated data capture resellers in North America regarding industry trends and found some good activity in the RFID space. Roughly 33% of these resellers suggest RFID is becoming either "somewhat important" or "important" to their business. Further, resellers indicated that passive/BAP technology is the No. 1 technology category they expect to offer in the next 24 months; active came in at No. 2.
- Increased Federal Focus on Pharma Pedigree. U.S. House Representatives Stephen Buyer (R-IN) and Jim Matheson (D-UT) introduced H.R. 5839, "Safeguarding America's Pharmaceuticals Act" on April 17. The bill essentially seeks to require the Secretary of Health and Human Services to establish regulations to promote a standardized national drug identification and tracking system. The bill seeks to amend section 503 of the Federal Food, Drug and Cosmetic Act in ensuring safety of wholesale prescription drugs in terms of minimum required data elements for pedigree tracking, and it requires a report on technological evaluation in addition to standards development on a faster basis than required in the Food and Drug Administration Amendments Act of 2007 (FDAAA). The act would also supersede individual state pedigree laws.
- Increased Aerospace Activity. Airbus recently offered some incremental insight into its RFID uses. The Aerospace giant, which has been piloting since 2006, discussed the success of past pilots, including providing some supporting metrics, and indicated that some rollouts have begun. The company is also beginning pilots with more complex operations and expects to begin expanding RFID throughout 2008. Airbus indicated that RFID, while just a tool, will be a key enabler in achieving some significant operational improvements.
- RFID Challenges. Given the early stages of RFID, many challenges exist to adoption. Given comments from industry players, we see three that have particular focus: 1) Ability to share data across a common platform among trading partners as data sharing will be the key value driver (this includes also restricting proprietary data); 2) Privacy and regulation, which as we discussed in previous editions can significantly dampen prospects if not properly addressed; 3) International standardization given the increasingly complex global supply chain.
Download the full Baird RFID Monthly (pdf)
